In a groundbreaking move for decentralized finance (DeFi), Redstone has launched Atom, a novel oracle solution designed to transform lending protocols. This innovation addresses critical inefficiencies in DeFi, offering real-time liquidations and capturing miner-extractable value (MEV) like never before. If you’re invested in DeFi’s future, this is a game-changer you can’t afford to miss.
What is Redstone’s Atom Oracle?
Atom is a next-generation oracle system that solves the limitations of traditional “push” oracles. Here’s how it stands out:
- Enables instant price updates for liquidations
- Captures MEV directly at the oracle layer
- Reduces slippage and optimizes capital utilization
- Works across multiple blockchains including Unichain and BNB Chain
How Does MEV Capture Work in DeFi?
Miner-extractable value (MEV) has been a controversial yet lucrative aspect of DeFi, with over $500 million historically captured by validators. Atom changes this dynamic by:
| Traditional MEV | Atom’s Approach |
|---|---|
| Value goes to validators | Value returns to protocols |
| Creates inefficiencies | Improves capital efficiency |
| Benefits few participants | Distributes value to users |
The Technology Behind Instant DeFi Liquidations
Powered by Fastlane Labs’ Atlas sequencer, Atom achieves sub-300-millisecond atomic MEV auctions. This means:
- Liquidators can trigger price updates instantly
- Participants bid for exclusive execution rights
- Settlement happens simultaneously with price updates
- No protocol modifications required
Why This Matters for DeFi’s Future
Redstone’s innovation represents a significant leap forward for decentralized finance. By addressing systemic inefficiencies, Atom offers:
- More sustainable revenue models for protocols
- Better risk management frameworks
- Improved yields for liquidity providers
- Reduced borrowing costs for users
Frequently Asked Questions
What chains does Atom currently support?
Atom is operational on Unichain and supports BNB Chain, Base, HyperEVM, and Berachain.
How does Atom benefit lending protocols?
It allows protocols to recapture MEV value that would otherwise go to validators, which can be used to improve user incentives and protocol sustainability.
What’s the speed advantage of Atom?
The system enables sub-300-millisecond execution, far faster than traditional oracle solutions.
Does Atom require protocol modifications?
No, according to Redstone co-founder Marcin Kazmierczak, protocols can integrate Atom without code changes.
